Hawaii Administrative Code

Definitions of terms found in section 484-1, HRS, shall be adopted by reference. In addition, the following definitions shall be included: "Current financial statement" means the balance sheet, income statement, and any other financial reports as deemed appropriate by the directo…

(a) The proposed public offering statement submitted to the director shall include the following information: (1) Name and address of subdivider; (2) Description of land, which includes the location, number of lots, area of the lots, size of lots, total area of subdivision, and t…

(a) Copies of the current public offering statement shall be delivered to purchasers and prospective purchasers. (b) Delivery of the public offering statement shall be evidenced by a signed receipt by the purchaser or prospective purchaser. (1) The receipt for public offering sta…

An executed copy of the escrow agreement between the subdivider and a bank, savings and loan association, trust company, or escrow company shall be filed with an application for registration and preliminary exemption pursuant to section 484-10(g), HRS. Notes Haw. Code R. § 16-104…

(a) All funds and instruments received from purchasers or prospective purchasers shall be held by the escrow agent in accordance with chapter 484, HRS, and this chapter. (b) The agreement shall comply with the requirements of chapter 484, HRS, and this chapter. Notes Haw. Code R.…

(a) Purchasers' monies shall be deposited with the escrow agent; provided that the subdivider or its agents may hold the monies, until the expiration of the seven-day rescission period or any longer purchaser cancellation period provided in the sales contract, if the payment made…

(a) The subdivider shall file with the director an annual report prepared in accordance with and containing the information called for in the annual report form provided by the director, or any instructions which may be required by the director with respect to filing. (b) The ann…

All subdividers are required to file a final report to advise the director when the last parcel in the subdivision has been sold. Notes Haw. Code R. § 16-104-41 [Eff 8/8/87] (Auth: HRS § 484-10) (Imp: HRS § 484-9)

(a) The application for registration and the public offering statement shall include a complete description of any fund which is created to provide for the maintenance of roads within the subdivision. This description shall include the following information: (1) A description of …

The rules of practice and procedure shall be as provided in chapter 16-201, the rules of practice and procedure of the department of commerce and consumer affairs, which are incorporated by reference and made a part of this chapter. Notes Haw. Code R. § 16-104-53 [Eff 8/8/87] (Au…

Any subdivider whose application for registration or exemption pursuant to section 484-10(g), HRS, has been rejected by the director, shall be entitled to a hearing upon filing if the subdivider files a petition for reconsideration within twenty days of the order of rejection. No…

If a petition for reconsideration is filed within the time prescribed, the director shall order a hearing upon notice, which shall be conducted in accordance with the provisions of chapter 16-201, relating to contested cases. Notes Haw. Code R. § 16-104-55 [Eff 8/8/87] (Auth: HRS…

If, after investigation, the director determines possible violations of chapter 484, HRS, or this chapter, the director shall order a hearing upon notice, which shall be conducted in accordance with the provisions of chapter 16-201, relating to contested cases. Notes Haw. Code R.…

(a) An application for registration or exemption shall not be accepted by the director unless it contains complete information called for in the application form and any filing instructions. Notes Haw. Code R. § 16-104-8 [Eff 8/8/87] (Auth: HRS § 484-10) (Imp: HRS § 484-5)…

Unless the subdivided lands or the transaction is exempt by section 484-3, HRS, and as provided in section 16-104-12, filing of an application for registration or exemption is required of all real estate subdivisions located in the State or elsewhere offered for sale in the State…

(a) An acquisition agent not licensed pursuant to chapter 467, HRS, shall at all times be bonded in the amount of $25,000 by a surety company authorized to do business in the State or file a cash bond in an equivalent amount with the director to cover any violation by the acquisi…

Any developer, acquisition agent, sales agent, OPC, plan manager, or exchange agent whose registration has been denied by the director, shall be entitled to a hearing; provided that a demand for a hearing is filed with the director within sixty days of the date of the letter info…

If a demand for a hearing is filed within the time prescribed, the director shall order a hearing pursuant to chapters 91 and 92, HRS, and chapter 16-201, the administrative practice and procedure rules of the department. Notes Haw. Code R. § 16-106-11 [Eff and comp 6/5/87; comp …

(a) All time share plans shall have a designated plan manager. (b) Each time share plan which is comprised of any unit or units located in the State shall have a plan manager or an RME of the plan manager in the State, whether or not the plan is offered for sale in the State or o…

(a) A developer shall notify the director in writing of any material change or changes in the disclosure statement for the developer's time share plan. (b) A developer shall amend or supplement the disclosure statement by submitting to the director a supplemental disclosure state…

(a) A developer shall submit the following to the director at the time of renewal of the registration for a time share plan not later than December 31 of each odd-numbered year, as required by section 514E-10(f), HRS, and section 16-106-4(h); provided that no application for rene…

(a) A developer or purchaser may cancel the contract to purchase an interest or interests in a time share plan by giving the other party written notification within seven calendar days after execution of the sales contract or after the purchaser's receipt of the disclosure statem…

The right to cancel a contract of purchase pursuant to section 16-106-20 does not preclude the purchaser from seeking appropriate relief from the contract in any court of competent jurisdiction. Notes Haw. Code R. § 16-106-21 [Eff 11/15/80; am and comp 3/28/85; comp 8/30/85; comp…

A copy of the contract for each sale of an interest or interests in a time share plan shall be retained by the developer for a period of at least one year after the parties to the contract have completely performed all of their respective obligations under the contract. Notes Haw…

(a) Except as to the geographic limitation set forth in section 514E-5, HRS, preexisting time share units and time share plans for preexisting time share units shall comply with the requirements of this chapter and chapter 514E, HRS, by January 1, 1981. (b) Time share units not q…

In addition to the requirements of chapter 514E, HRS, and this chapter, a developer, sales agent, or plan manager shall submit to the director at the time of registration of the preexisting time share plan a certified statement setting forth the location of the plan, the number o…

A preexisting time share plan shall have a plan manager. Any provision relating to a plan manager in this chapter shall be applicable to the plan manager for a preexisting time share plan. Notes Haw. Code R. § 16-106-27 [Eff 11/15/80; am and comp 3/28/85; comp 8/30/85; comp 11/29…

Additional time share units shall not be created in a mixed-use project containing an existing time share unit or time share plan and any residential unit, unless time share units are allowed in the project pursuant to section 514E-5, HRS, and section 514E-6, HRS, and all of the …

Notes Haw. Code R. § 16-106-4.3 R 3/7/88

A developer or sales agent shall: (1) Have a copy of chapter 514E, HRS, and a copy of this chapter available for inspection by any prospective purchaser; (2) Advise each prospective purchaser at the time any interest in a time share plan is offered for sale in this State or out-o…

Notes Haw. Code R. § 16-106-32 R 3/28/85

A plan manager shall establish and maintain an account with a bank, savings and loan association, or trust company authorized to do business in this State for the deposit of any moneys received by the plan manager in connection with the management of the time share plan. An accou…

(a) A developer for a time share plan shall establish and maintain an escrow account for the deposit of all funds, negotiable instruments, and purchase money contracts received before closing from or on behalf of purchasers or prospective purchasers of interests in the time share…

Notes Haw. Code R. § 16-106-35 R 3/28/85

A developer and sales agent, or plan manager, shall provide any information on the respective accounts maintained by each party to the director upon written request. The account shall be subject to inspection upon reasonable notice by the director or a representative of the direc…

(a) No advertisements, promotional brochures, circulars, pamphlets, handouts, or other material shall be published or used by a developer, acquisition agent, sales agent, or OPC in connection with the sale of any interest or interests in a time share plan unless copies of these m…

(a) The following caption shall be included on all promotional literature and other printed or written material used in connection with the sale of any interest or interests in a time share plan; provided that the caption shall be printed in capital letters of twenty-four point b…

The resale agent shall give prospective purchasers of a resale time share interest a copy of the time share plan's latest disclosure statement on file with the director. If the resale agent is not the party who filed the most recent disclosure statement, the resale agent shall at…

(a) A plan manager shall at all times maintain a bond, naming the time share owners association and all time share owners as obligees, covering all of its directors, officers, employees, agents, and volunteers having control of or access to moneys of the plan manager or moneys wh…

Any bond required under this chapter shall inure to the benefit of purchasers who suffer loss as a result of any violations, defalcations, or default described in section 514E-10(b) and (d), HRS, or any rule adopted pursuant thereto. Notes Haw. Code R. § 16-106-41 [Eff 11/15/80; …

(a) A surety company may cancel the bond by giving thirty days notice in writing to the director and to the time share owners association; provided that cancellation of the bond shall not relieve a surety company from liability for any cause of action arising out of acts which ma…

The developer of a time share plan, in conjunction with the submission of an application for registration of a time share plan as required by chapter 514E, HRS, and this chapter, shall provide confirmation that each time share unit or time share plan is located in an area designa…

(a) It shall be a violation of chapter 514E, HRS, and this chapter for any sales agent or acquisition agent for any time share plan or unit to: (1) Fail to comply with the disclosure requirements set forth in section 514E-9, HRS, or any rule adopted pursuant thereto; (2) Use any …

It shall constitute an unfair or deceptive trade practice within the meaning of chapter 480, HRS, and shall be a violation of chapter 514E, HRS, for any developer, acquisition agent, or sales agent to: (1) Engage in the prohibited practices set forth in section 16-106-46(a), para…

The director may suspend or revoke the registration of a developer, acquisition agent, sales agent, OPC, plan manager, or exchange agent for violation by the registrant or any of its employees of any of the provisions of chapter 514E, HRS, or any rules adopted pursuant thereto, a…

(a) No application of a corporate developer, corporate acquisition agent, corporate sales agent, corporate plan manager, or corporate exchange agent shall be accepted unless the corporation has designated a responsible managing employee (RME) and prescribed the RME's duties, resp…

The OPC at all times shall be employed either directly or indirectly by a licensed real estate broker who shall also be registered as a time share sales agent or acquisition agent. A real estate broker who employs an OPC who is not licensed pursuant to chapter 467, HRS, shall be …